Reply to: Oil price jumps to $104 a barrel

[MarillionFan]

By the time you make £100K profit, the average salary will be £500K and the average house £5 trillion.

and he'll still live in a rented bedsit.

[sasguru]

I've chosen to increase my income instead

By the time you make £100K profit, the average salary will be £500K and the average house £5 trillion.

[sasguru]

So Mr and Mrs Average in London (both working) could afford that and have two holidays in Disneyland ever year and buy an Aygo and an Eco Shed?

Mr and Mrs Wealthy in London with a joint large 6-figure income and no mortgage can realistically afford almost anything that tickles their fancy.

[sasguru]

"average property in the capital costing 430,680 pounds."

And what kind of after tax salary is necessary to afford this average property?

No salary at all is required provided you bought property in the 90s.
I could buy 3 of those for cash if I sold mine. No salary necessary.

HTH

[DaveB]

It's still there.

Unfortunately

[Jog On]

haven't been past for a while - is that big Anchor butter factory still there by the M4?

[DimPrawn]

What happened to Swindon?

It's still there.

[Jog On]

What happened to Swindon?

[DimPrawn]

Is that why you decided to move up norf so that you look wealthy?

I realised I lived too close to sasguru.

[AtW]

Good plan. That's the way I look at everything. Nothing is overpriced, you are just underwealthy.

Is that why you decided to move up norf so that you look wealthy?

[DimPrawn]

I've chosen to increase my income instead

Good plan.

That's the way I look at everything.

Nothing is overpriced, you are just underwealthy.

[AtW]

If you are waiting for 3x income house prices, prepare to die waiting.

I've chosen to increase my income instead

[DimPrawn]

£39k salary is £2,402.85 monthly net wage - so this already makes this "average" house out of the reach.

£65k salary is £3,721.70 net - 65% of net income spent on mortgage, and that using very low interest rates of 4.5%!!!

Clearly this average house price is totally unrelated to average salary and thus the market is completely and utterly overpriced.

For this reason I am out.

Most people buy as a couple so you can double the salary.

If you are waiting for 3x income house prices, prepare to die waiting.

[AtW]

A 25 year mortgage on £430,000 at 4.5% will cost you £2,416 a month in mortgage payments. To get the loan based on the Halifax lending criteria you'd need to be earning in the region of £65000 to get a 75% mortgage on that amount on a 25 year term. Average income in London in 2010 was £39,000.

£39k salary is £2,402.85 monthly net wage - so this already makes this "average" house out of the reach.

£65k salary is £3,721.70 net - 65% of net income spent on mortgage, and that using very low interest rates of 4.5%!!!

Clearly this average house price is totally unrelated to average salary and thus the market is completely and utterly overpriced.

For this reason I am out.

[DimPrawn]

A 25 year mortgage on £430,000 at 4.5% will cost you £2,416 a month in mortgage payments.

To get the loan based on the Halifax lending criteria you'd need to be earning in the region of £65000 to get a 75% mortgage on that amount on a 25 year term.

Average income in London in 2010 was £39,000.

So Mr and Mrs Average in London (both working) could afford that and have two holidays in Disneyland ever year and buy an Aygo and an Eco Shed?